UAE approves new US $272mn rail company
Federal law wins approval to form Etihad Trains Company
The UAE government approved a federal law on Wednesday to set up a AED1bn ($272m) railway company, state news agency WAM reported.
The Etihad Trains Company, which would be 100 percent owned by the government, would transport goods and passengers and would invest in a countrywide rail network, that would link the emirates.
Run by at least seven board members, the new company would specialise in leasing, owning and selling trains.
“According to the decree, the "Etihad Trains Company" shall, among other objectives, strive to link the rural areas with the urban areas of the country to accelerate growth and development in the country and facilitate easy, cheap and safe means of transport of passengers and goods, to minimise environmental pollution stemming from carbon combustion from cars on the roads and highways,” WAM reported.
Richard Bowker, the outgoing boss of UK rail and bus group National Express who steps down from the post on July 10 is expected to act as chief executive of Etihad Trains.